IDBI Bank’s Public Provident Fund (PPF) scheme is one of the efficient investment methods which provides great return and income tax benefits are available under Sec 80C of the IT Act. The interest earned is also totally exempt from income tax and the amount outstanding to the credit is fully exempt from Wealth Tax. One can check their PPFs maturity value by using the IDBI Bank PPF calculator anytime. The amount in the PPF account can be deposited in a lump sum or in a maximum of 12 instalments per year. IDBI Bank has been authorized by the Government of India to PPF accounts subscriptions through its select 675 branches spread across India.

What is PPF and how to open it in IDBI Bank?

A PPF scheme is a great investment method which offers substantial return and tax benefits. One can invest an amount as low as Rs. 500 to a maximum of Rs. 1,50,000 in one financial year. PPF account comes with a lock-in period 15 years, however, anyone can partially withdraw after the completion of 5 years. IDBI Bank provides the option of opening a provident fund account via the online method by making use of the internet banking facility. The account opening form is available online and all the information can be submitted there only.

IDBI Bank PPF Return Calculation Formula

The formula for IDBI Bank PPF maturity value calculation is given below:

F = P [({(1+i) ^n}-1)/i]

The variables used in the formula are:

  • F is the Maturity of PPF
  • P is the Annual instalments
  • i is the Rate of interest
  • n is the Total number of years

How to Use the PPF Account Calculator of IDBI?

The maturity value calculation on your IDBI Bank PPF account takes less than a minute and can be done with a few simple steps:

  • Enter the yearly investment amount or move the slider to adjust the amount
  • Provide the time period ore tenure of the PPF investment.
  • Once you enter the above details, the PPF calculator of IDBI Bank will automatically calculate the total investment amount, total interest and the maturity value at the end of the investment period

Benefits of Using IDBI PPF Calculator

The PPF calculator is not only easy to use and understand but has certain benefits also:

  • Helps the depositor in making a wise decision on the investment horizon, for how long should the investment be held
  • It helps you to calculate interest on both fixed and variable investment
  • Helps in planning the yearly amount to be invested

IDBI PPF Account – FAQs

Ques. Is partial withdrawal amount from PPF Taxable?

Ans. No. One of the important aspects of PPF account is along with the maturity amount, the amounts of partial withdrawals are also tax-free.

Ques. Can I close my PPF account before the lock-in period?

Ans. You can only close your PPF account prematurely if you have held the account for at least five full financial years. So, before you save money in a PPF account, keep the five years cap in mind.

Ques. What is the minimum lock-in period for PPF account?

Ans. The minimum lock-in is 15 years and the money can be withdrawn in full after its maturity period.

Ques. Can I open 2 PPF accounts?

Ans. No. If you are having a PPF account in a bank, you cannot open another account in the post office and vice-versa. If two accounts are opened by the depositor in his name by mistake, the second account will be considered as irregular account and will not carry any interest unless the two accounts are amalgamated.